ZIMBABWE’s banking sector is preparing for the cascading effects of US aid cuts, a move that could destabilise the country’s economy and worsen existing economic challenges.
In late January, US President Donald Trump ordered a 90-day suspension of foreign aid, halting all financial assistance distributed by the United States Agency for International Development.
This decision has sparked global concern, with Africa facing particularly severe consequences. In 2023, USAID allocated US$12,1 billion to sub-Saharan Africa to support healthcare, food security, and security initiatives.